FKLI Commentary on 18/12/08

FKLI December futures contract rose 5.5 point higher as compare previous trading session to close at 870.5 with total of 6191 lots traded in the market. FKLI was opened slightly lower during trading session despite to strong Dow Jones overnight closing.

Technically, FKLI price seem topped around 200% Fibonacci projection figures at 873 region while pre-forms a head and shoulder formation in the 5 min chart which view as rounding top on the hourly chart. We expect FKLI would retrace slightly in the next trading session around support levels at 863 and 860 region; both were 61.8% and 78.6% Fibonacci retracement figure. Traders were advice to hold long position around the support levels provided if critical support levels at 852 and 842 were not violated. Resistances were seen at 877 and 890 region.